(Bloomberg) -- Baby boomers emptying the nest and their adult offspring starting families are driving demand for sport utility vehicles, which will account for two in five new auto sales in the U.S. by 2020, according to Ford Motor Co.
Americans will buy a record 5 million SUVs in 2015, fueled by low gasoline prices, cheap car loans and a desire for high- riding big rigs that can haul plenty of people and possessions, according to Kevin Schad, brand manager for the Ford Escape. Sales of SUVs and sport wagons are up 16% this year, according to researcher Autodata Corp. And they account for almost a third of auto sales in the U.S., Schad said.
Ford is giving its top-selling SUV, the compact Escape, a facelift to beef up its styling, quiet the cabin and enhance technology offerings in a bid to appeal to both the boomers and the millennial generation. Ford raised the hood and broadened the shoulders to make the Escape look less like a wagon. And it installed software that lets drivers unlock, start or locate their vehicle with a smartphone.
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